The clock is ticking! Are you ready for ESOS Phase 2?

What is ESOS?

The Energy Savings Opportunities Scheme is a mandatory energy assessment scheme. Organisations might see this as another administrative burden, however it is a chance for companies to improve their energy efficiency and make some potentially significant cost savings.

Qualifying companies are required to comply with the scheme by ensuring that all of their significant energy usage across their buildings, industrial processes and transport is covered by one or more routes to compliance. This could be through ISO 50001, Green Deal Assessments or Display Energy Certificates.

If none of the above strategies are implemented, qualifying organisations must appoint a lead assessor to complete ESOS energy audits and reporting on their behalf.

The compliance deadline is 5 December 2019. Companies who are late with their reporting may be fined by up to £50,000 and/or a fine of up to £500 per each day of non-compliance, for a maximum of 80 days.

Do I qualify?

The scheme applies to all large companies and groups containing large companies, registered in the UK.

A large company is defined as having:

  • 250+ employees*
  • an annual turnover in excess of 50 million euro, and an annual balance sheet total in excess of 43 million euro

*For a UK registered company, employee is defined as anyone contracted to the company either in the UK or abroad, irrespective of the number of their working hours. For a non-UK registered undertaking, with a UK registered company, employee is defined as someone directly contracted to the undertaking who is subject to income tax in the UK.

I completed ESOS Phase 1, do I still need to comply with Phase 2?

Yes, if your company still falls under the above criteria, you will need to comply with ESOS Phase 2.

Give us a call on 01923 854770 to see how we can make ESOS work for your business.

Useful Links

Complying with the Energy Savings Opportunity Scheme

SECR Compliance Explained

What is SECR?

SECR stands for Streamlined Energy and Carbon Reporting. It is a policy that some large businesses must comply with, for financial years starting on or after 1 April 2019 and it coincides with the end of the Carbon Reduction Commitment (CRC) Scheme.

SECR doesn’t replace any existing requirements that companies may need to fulfil, for example the Energy Saving Opportunity Scheme (ESOS). Business will still need to comply with those requirements.

The aim of the policy is to bring carbon and energy reporting to more businesses and to encourage energy efficiency within businesses, bringing environmental benefits and cutting costs.

Who does it apply to?

Unless exempt, companies that fall within the below categories must comply with the policy.

  • All UK incorporated quoted companies
  • Large unquoted companies
  • Large Limited Liability Partnerships

Your company will be classed as “large” if it falls under two or more of the below criteria.

  • Over 250 employees
  • a turnover £36 million or over
  • an annual balance sheet of £18 million or over

The government encourages all companies to produce similar reporting, although this is completely voluntary.

How and when will I have to report?

All companies that qualify will need to include the reporting information in their Director’s report, with LLPs having to produce an equivalent Energy and Carbon report.

Reporting will need to be submitted for all financial years starting on or after 1 April 2019.

Useful links

Government’s reporting guidelines

CCL Increases

What is CCL?

Climate Change Levy (CCL) is an environmental government tax charged on energy used by non-domestic consumers. It is designed to encourage businesses to be more energy efficient and reduce their greenhouse gas emissions. Some businesses are exempt from paying this tax.

Why has it increased?

CCL has increased steadily year on year, however with the Carbon Reduction Commitment (CRC) scrapped at the end of the 2018/19 compliance year, the CCL becomes the only carbon tax on energy bills and the government needs to recover the lost revenue elsewhere. We have seen considerable increases this April and are expecting even higher increases to be announced for April 2020.

Rates from
1 April 2016
Rates from
1 April 2017
Rates from
1 April 2018
Rates from
1 April 2019
Natural Gas
Other taxable

Do I have to pay it?

CCL applies to all businesses, except for charities with non-commercial activities and some businesses with residential use (for example care homes). Businesses with monthly deminimis usage of 1000 kWh (electricity) and/or 4397 kWh (gas) are also exempt.

Some industries are eligible to pay discounted rates, if they sign up into a Climate Change Agreement (CCA) through their trade body/association. More information about CCAs can be found here.

Can I do anything to reduce my cost?

CCL rates are billed against your consumption and therefore the only way to reduce your cost would be to reduce your consumption. This could be achieved through behavioural changes (for example not leaving unnecessary equipment running over night) or energy saving initiatives, for example installing LED lighting or more efficient appliances/equipment.

Useful links–2

Celebrating 10 Years!

Celebrating 10 Years!

Focus Assured started trading in June 2009 with only a handful of employees and customers. Throughout the years, we have built up our teams and portfolio of customers, now servicing thousands of gas and electricity meters.

In the last 10 years, we have grown from a gas & electricity brokerage to an energy consultancy and we had great time expanding our service offering and making the company a success.

We would love to thank our staff for all the hard work they put in, ensuring that our customers always get the best deal and are looked after throughout their journey with us.

Last, but not least, a big thank you to all our customers for their trust and support all these years. We couldn’t have done it without you!